Attorney Mark Methenitis on GameStop-OnLive Fiasco

August 24, 2011 -

Wired's Game | Life taps into the legal expertise of attorney Mark Methenitis to determine if GameStop might face legal action for removing OnLive coupons from PC retail boxed copies of Deus Ex: Human Revolution.

Naturally there may be some unforeseen issues at play here that could affect whether Square Enix could sue the top games retailer - like if both companies have an existing agreement or contract that bars Square Enix from including deals from GameStop's direct competitors. That's doubtful considering that GameStop allows games that include Steamworks or the Steam Client on disc.  Steam is clearly a direct competitor to GameStop's Impulse digital distribution platform. Here's what Methenitis thinks about that:

"Existing contracts between GameStop and Square may have barred this kind of promotion, and so GameStop may actually be justified in their action if Square is in breach of some promotion/marketing agreement."

Methenitis also said that GameStop's actions related to OnLive probably did not violate consumers' rights, and even though consumers could sue the company for "deceptive trade practices or fraudulent advertising," they wouldn't have much of a case because the coupon wasn't advertised on the game's packaging.

Methenitis closes by saying that some of GameStop’s policies might have violated Federal Trade Commission policy. One in particular is an employee "rental plan" that lets employees rent brand new games. The problem is that these "rented titles" are brought back to the store and sold as "new" products for full price. This practice has been going on for several years and was the subject of a class action lawsuit against the company which inevitably failed.

Game|Life contacted the Federal Trade Commission for comment and got the following response:

"The FTC Act prohibits unfair and deceptive business practices," an FTC representative told Wired.com. "So if a company misrepresents that a product is new and doesn’t make adequate disclosures that it has been open or used, then that could be considered deceptive."

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Comments

Re: Attorney Mark Methenitis on GameStop-OnLive Fiasco

so its perfectly legal for them to sell opened, altered, and possibly damaged products at full price?

or did he skip that part?

Re: Attorney Mark Methenitis on GameStop-OnLive Fiasco

I guess as long as they are not altering known/advertised features, it is probably legal.

Though now I am wondering what kind of case would exist if GameStop had altered something deeper then a cupon... say, the game itself.. remove a few levels and require you to buy alternate versions from their content group.

Re: Attorney Mark Methenitis on GameStop-OnLive Fiasco

Yes. It is perfectly legal. "New" does not necessarily constitute "sealed". And what the article doesn't mention is that Gamestop does not permit employees from checking out PC titles, due to DRM concerns.

Re: Attorney Mark Methenitis on GameStop-OnLive Fiasco

What about DRM concerns on console games? Rarer (for now), but still there. See: Borderlands GotY edition.

 

Re: Attorney Mark Methenitis on GameStop-OnLive Fiasco

If you were talking about the OLD version of the GOTY, then Gamestop employees simply don't use the code. The new versions of GOTY either have the DLC built into the game disc (PS3) or on a seperate disc (Xbox 360).

If you knew how crappy Gamestop treats all their employees that are below an ASM, you probably wouldn't complain about the check-out program. Here's a few fun facts to help.

Fun fact #1: The single most common question asked of any Gamestop employee is "Is (insert game name here) any good? Gamestop employees are obviously expected to own every single game ever released.

Fun fact #2: Despite popular opinion, Gamestop employees do NOT get to play games before their street date. The exception to this, obviously, are the stupid-ass managers who break street date simply because they think they can and that nobody will find out.

Fun fact #2.5: They always find out, sooner or later, and are subsequently fired.

Fun fact #3 (More of a suggestion): If you're really that concerned about getting a sealed copy of a game, then ask for one. If they don't have one, GO SOMEWHERE ELSE. I used to be one of those of the mind that a game is somehow tainted if someone else had played it before me. It wasn't until AFTER I had worked for Gamestop that I realized how much of a pretentious douchebag I was.

Fun fact #4 (As stated in the shoutbox): Many Gamestop stores have shrink wrap machines. If all it took to get you to shut up about it is shrink wrap the game before it's sold to you, you'd be none the wiser.

Re: Attorney Mark Methenitis on GameStop-OnLive Fiasco

All the more reason not to buy new or used above 30$.


Copyright infringement is nothing more than civil disobedience to a bad set of laws. Let's renegotiate them.

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PHX CorpI'm going to do a test stream later today, if anyone is intrested07/31/2014 - 2:40pm
Andrew EisenYes, I'm such a big Nintendo dork that I read Nintendo's quarterly financial reports.07/31/2014 - 2:09pm
Andrew EisenCool tidbit - Mario Kart 8 sales account for more than half of total Wii U software sales for the last quarter even though it was only available for the last third.07/31/2014 - 2:09pm
Andrew EisenStill a pretty cool promotion. Unfortunately for me, I'm not interested in purchasing Mario Kart 8 and I already owned or didn't want any of the free games on offer.07/31/2014 - 1:43pm
Andrew EisenInteresting that EU had 10 games to choose from while North America only had four.07/31/2014 - 1:41pm
MaskedPixelanteIt certainly worked, I probably would never have bought Mario Kart 8 if it didn't come with a free copy of Wind Waker HD.07/31/2014 - 1:14pm
Andrew EisenI imagine will see similar promotions like "Buy Mario Kart 8 get a download code for one of these specific games" but almost certainly not for all of its (however you would define) biggest releases.07/31/2014 - 11:24am
MaskedPixelanteI wonder if Nintendo is going to be doing "buy one get one free" promos for all their biggest releases going forward.07/31/2014 - 10:48am
MaskedPixelantehttp://www.mcvuk.com/news/read/special-report-retail-revolt-over-pc-code-strippers/013614007/31/2014 - 8:27am
ZippyDSMleeWouldn't they be able to afford and get done in a timely manner a general gba emluator for the 3DS? It seems to me if they want to make money off sales they need to do it.07/31/2014 - 7:25am
Sora-ChanAmbassador program, that's what I was looking for. Anyway the other games that have been made no longer exclusive to the early adopters got updates in their software. It'll only be a matter of time more than likely for the GBA to get the same treatment.07/31/2014 - 5:35am
Sora-ChanI might be naming it incorrectly when I say "founder" i mean the program for earlier adopters.07/31/2014 - 5:34am
Sora-Chanthe 3DS's GBA emulator was a rush job due to the founder program. No other GBA titles have been released on the 3DS yet. If/When they do get around to it, they'll more than likely update the emulation software.07/31/2014 - 5:32am
Zenemulator...it's not just a slap job that makes "some" work..they do it for each which is why they work so well. I would rather have the quality over just a slap job.07/30/2014 - 5:48pm
ZenMatthew there is a difference between "worked" and "accurate". You play the Nintendo VC titles they play as damn close to the original as possible. The PSP would just run them as best they could, issues and all. And Masked...EACH VC title has their own07/30/2014 - 5:48pm
MaskedPixelanteOnce again, the 3DS already HAS a GBA emulator, it just can't run at the same time as the 3DS OS.07/30/2014 - 4:54pm
Matthew Wilsonyou cant street pass in ds mode ether, and if moders can make a gba emulator that runs very well on the psp as I understand it. you are telling me that Nintendo devs are not as good as moders?07/30/2014 - 4:49pm
Zenperformance. Halo 1 and 2 worked great because they actually did custom work on each of them...just like Nintendo does now lol07/30/2014 - 4:08pm
Zenexisting hardware while the GBA has to be emulated completely. Same reason the 360 couldn't run most Original Xbox games correctly, or had issues because they just did "blanket approach" for their emulation which led to game killing bugs or horrible07/30/2014 - 4:07pm
ZenSora/Matthew: It's not just Miiverse, but the whole idea of streetpass and things like that would be affected if the OS is not running. And just because a 3DS game can be downloaded and run does not mean that GBA can as easily. Those 3DS games use the07/30/2014 - 4:06pm
 

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